Overview

• The $7,500 new‑EV and $4,000 used‑EV federal credits expire Tuesday, and IRS guidance allows buyers to secure eligibility with a signed, binding contract and required payment before the deadline.
• Shopping has surged as inventories thin, with EVs on track for 12.2% of September new‑car sales and Cars.com reporting demand up 33% for new EVs and 22% for used models.
• Dealers report IRS delays approving and reimbursing point‑of‑sale rebates, forcing some to front tens of thousands of dollars or pause upfront credits, though the White House and IRS say valid claims will be paid.
• Automakers and dealers have stacked incentives and may add more next quarter, even as some EV projects slow and Tennessee has logged roughly 150 EV manufacturing job losses over the past year.
• Analysts expect a sharp sales dip after the credit ends followed by a 2026 rebound, and California leaders say they will not replace the federal credit but will continue investing in charging infrastructure.